Signing Two Agreements for Conducting Geophysical Survey in the Red Sea

Eng. Tarek El Molla, Minister of Petroleum and Mineral Resources announced that the Red Sea maritime border demarcation agreement with Saudi Arabia grants Egypt the opportunity to start Petroleum activities in the area for the first time especially that it is a virgin area that has never witnessed such activities except in the Gulf of Suez.

The agreement will enable the Petroleum Sector to offer Bid-Rounds to explore and utilize resources within the Egyptian exclusive economic zone (EEZ) in the Red Sea, which was not possible without the agreement.

The contracts were signed between the South Valley Egyptian Petroleum Holding Company (GANOPE) and both Schlumberger and TGS companies to execute two projects for geophysical survey in the Egyptian exclusive economic zone (EEZ) in the Red Sea and areas of south Egypt, with investments of more than $750 Million.

Itís worth mentioning that, the agreements reflect the major companies trust in economic reform procedures, recently, taken by the Government and will, in turn; attract new investments to the Egyptian petroleum sector.